Carving a niche is giving your home business a unique identity. Its a mind game. Carving a niche is about positioning your home business in the  mind of your prospect and not
in the market. Carving a niche should be one of the primary focuses while you start your home business.  Carving a niche means filling a need.
Thousands of sites with similar theme are already up and active on the net
and as many are being launched everyday. How do you survive such
competition? By carving a niche for our services or product.. means we give it
a unique identity. Say for example I am dealing in online education. (See,
how I develop my niche.. ) I narrow it down to MBA. So my focus group
becomes students who are aspiring to do MBA. I further narrow it down..
people who want to do it online. I have narrowed it down to Online MBA. 
now I think of an add-on': I help them get educational loans. Finally I have
a product/service ready for my specific target audience "Now you can
continue to do your regular job and do your MBA Online. We help with
educational loan you may need to pursue your dream of getting yourself a
professional degree.

By the above thinking process we have done three things : Our target audience is decided. Our USP (Unique Selling Proposition) is decided, that they can work while they earn their degree. And third thing 'Add On' is, if they are looking for loan to study we can help them.

Sell this idea  through your website. This is niche. How well can you present it, is entirely up to you. Everything will play a role, from content to background and font color to optimization - to bring and hold the traffic to your site. Niche is the real constant. It adds TRUE value to you site. If you have been able to carve a niche it means your site has something relevant and important for the searchers/your target audience.

So, get into niche marketing and selling. Carve a niche for your business. It helps the visitor to remain focused. It helps to draw specific audience to your site and if
your content is specific, possibility of your visitor becoming your down-line or user of product/services is more... so start to think, don't stop, breathe, breathe, think, think, breathe - you can survive without neither! Home business, carving a niche, how, think, breathe....

About the Author

The author is Purva Mewar
webmaster of Work at Home Based Business websites, www.yesearnformhome.com  and www.work-at-home-earn-extra-income.com